General insurance business of Bharti Axa to join hand with ICICI Lombard
By MYBRANDBOOK
According to sources, Bharti Axa's non-life insurance business will merge with ICICI Lombard's general insurance business through a scheme of arrangement. "The proposed transaction provides a meaningful opportunity for ICICI Lombard to consolidate its market-leading position in the non-life insurance sector, becoming the third-largest non-life insurer," the companies issued a joint statement.
The combined entity will have a market share of 8.7 per cent on a Pro-forma basis, they said without giving financial details. Bhargav Dasgupta, Managing Director, and CEO of ICICI Lombard General Insurance said this is a landmark step in the journey of ICICI Lombard. "We are confident that the transaction will be value accretive for our shareholders. We are excited by the capabilities and strengths that Bharti Axa will add to our franchise," he said.
Rakesh Bharti Mittal, Chairman of Bharti Axa General Insurance, said the partnership between Bharti and Axa has been successful in laying down a solid foundation in the domestic insurance landscape. He said, "Over the past few years, our business demonstrated consistent growth, forged productive partnerships, and increased the distribution footprint significantly. We are confident that the proposed amalgamation of our business with ICICI Lombard will bring greater business synergies and create value for all stakeholders."
Bharti Enterprises and French multinational insurer Axa hold 51 per cent and 49 per cent stake respectively in Bharti Axa General. Based on the share exchange ratio recommended by independent valuers and accepted by the respective boards of ICICI Lombard and Bharti Axa, the shareholders of Bharti Axa will receive two shares of ICICI Lombard for every 115 shares of Bharti Axa.
The closing of the proposed transaction is subject to various conditions precedent, including regulatory approvals from Insurance Regulatory and Development Authority of India, Competition Commission of India, Securities, and Exchange Board of India, stock exchanges, Reserve Bank of India, National Company Law Tribunal and shareholders of both companies.
Ernst & Young LLP (EY) acted as the exclusive M&A advisor to ICICI Lombard. AZB & Partners acted as the legal advisor to ICICI Lombard. Cyril Amarchand Mangaldas acted as legal advisor to Bharti, and Talwar Thakore & Associates acted as legal advisor to Axa.
Singapore to remove One-Time Passwords from Bank Accounts
According to the Monetary Authority of Singapore, clients who utilise secur...
Is 375 million Airtel subscribers database breached?
When a hacker claims to have accessed and put up for sale a customer databa...
The government of India intends to construct a single portal f
A single portal will be launched by the Indian government to list all of it...
OpenAI offers GPT-4o, a faster model available to all users at
GPT-4o, a faster and more sophisticated AI model, is made available to all...
Icons Of India : Harsh Jain
Harsh Jain, the co-founder of Dream 11, the largest fantasy sports web...
Icons Of India : MUKESH D. AMBANI
Mukesh Dhirubhai Ambani is an Indian businessman and the chairman and ...
Icons Of India : Girish Mathrubootham
Girish Mathrubootham is the Founder of Freshworks (previously known ...
C-DAC - Centre for Development of Advanced Computing
C-DAC is uniquely positioned in the field of advanced computing...
GeM - Government e Marketplace
GeM is to facilitate the procurement of goods and services by various ...
ECIL - Electronics Corporation of India Limited
ECIL is distinguished by its diverse technological capabilities and it...
Indian Tech Talent Excelling The Tech World - Aneel Bhusri, CEO, Workday
Aneel Bhusri, Co-Founder and Executive Chair at Workday, has been a le...
Indian Tech Talent Excelling The Tech World - PADMASREE WARRIOR, Founder, President & CEO - Fable
Padmasree Warrior, the Founder, President, and CEO of Fable, is revolu...
Indian Tech Talent Excelling The Tech World - Satya Nadella, Chairman & CEO- Microsoft
Satya Nadella, the Chairman and CEO of Microsoft, recently emphasized ...